These figures suggest a mixed economic outlook for the region overall and Mark Upton, R3 eastern chariman and a partner at Ensors Chartered Accoutants in Cambridge said.

“We must be mindful of a very firm increase in business distress levels in the past year. The R3 research could indicate that a new phase of the economic cycle has started," said Upton.

A rise in fixed costs, higher business rates, an increase in the national minimum wage and rising inflation are all factors attributed to the change in the economy.

Despite this, companies in the East reporting one or more signs of growth increased to 64 per cent in September 2017, up from 59 per cent the same time last year. This bucked the trend of UK business performance: othe same time period, the national percentage of businesses reporting growth fell to 53 per cent from 62 per cent.

Upton added: “While the regional economy appears to be offsetting these greater outlays in part, there are still many companies in a precarious financial position.”